After years of political turmoil and threats, the under age 65 insurance market has remained relatively quiet now that plans offered under the Affordable Care Act have finally reached some stability.
Over the past year, premiums for ACA plans have remained stable, and in some cases have event decreased, so it’s no surprise that health insurers who offer plans under the ACA have begun to expand into new areas for 2020, sometimes into markets where consumers had few choices. For example, for the first time ever Blue Cross and Blue Shield of Minnesota will be available in every county in Minnesota through MNsure.
In July, the Minnesota Department of Commerce posted the proposed 2019-2020 rate changes for health plans in Minnesota’s small group and individual markets. Below are the proposed rate changes for individual and family products for 2020:
- Blue Plus: 4.8% increase
- Group Health (HealthPartners): 2.1% increase
- Medica: 1.35% decrease
- PreferredOne: 10% decrease
- UCare: .31% increase
While purchasing health insurance plans on-exchange through MNsure may be the right choice for some of your clients, others can benefit from purchasing off-exchange depending on their circumstances. Continue reading to better understand which option is best for your clients.
On-exchange verses off-exchange
When discussing with your clients whether they should purchase their insurance on-, or off-exchange, it’s important to consider several factors.
First, when purchasing on-exchange, such as MNsure, it’s important to be aware that individuals and families who not qualify for subsidies, ACA coverage can still be out of reach. However, for those who do receiving subsidies, ACA plans can be a quite affordable option.
According to the Centers for Medicare and Medicaid Services, people who qualify for ACA subsidies, those making below about $100,000 for a family of four, the picture is very favorable. The data shows that 10.6 million people had coverage on the ACA exchanges as of February 2019.
The open enrollment period to sign up for a 2020 individual market health plan will begin on November 1, 2019, and continues through December 23, 2019.
However, for those individuals and families whose income is too high to qualify for subsidies, the best option may be to purchase their plans off-exchange.
Even though these plans are more affordable, it’s important to remember that they are often high-deductible, narrow network plans, which is why they should be paired with an indemnity plan such as an accident or hospital indemnity plan in order to ensure affordability. Indemnity plans typically provide cash or reimbursements and can be used for any purpose or expense, regardless of network. Whether you are working in the Under 65, Medicare or Employee Benefits markets, indemnity plans make insurance policies work better.
Read more about how to pair indemnity plans with your clients’ coverage by clicking here.
Open Enrollment for off-exchange plans runs from November 1, 2019 to December 15, 2019.
Even though ACA plans have seen more success in the past year, it doesn’t mean that you shouldn’t still be considering alternatives for those clients who want it.
One option that is gaining traction among these clients is healthcare sharing ministries from OneShare Health. Healthcare sharing programs are typically organized under ministries or other religious organizations, which facilitate voluntary sharing among members for eligible medical expenses.
OneShare Health aims to serve its members with innovative solutions to the healthcare challenges that exist in the marketplace today. Watch this on-demand webinar to learn more about how healthcare sharing programs, and OneShare Health, can offer a unique solution for your clients.
Healthcare sharing programs are becoming one of the most affordable options for young, healthy families, but they are also a good option for the pre-Medicare clients in the age 55-65 range. By getting them enrolled in a healthcare sharing program now, you will already have them in your pipeline when it comes times for them to enroll in Medicare.
Your clients want options
It’s become a better world for individuals who are looking for coverage, because now they have more options than ever before, which why it’s in your best interest to add all of these options to your portfolio for 2020.
Get certified now to sell both on- and off-exchange, as well as with OneShare Health so that have all of these options open to you and your clients.
Get certified with MNsure
Information on certification and recertification can be found on the MNsure website by clicking here
Get certified to sell
To get appointed with any of the carriers who sell off-exchange, or to get appointed with OneShare Health, contact LeClair Group at 651.739.2010, email Licensing@LeClairGroup.com or apply online. Contact LaRae Mills or Weston Peterson on LeClair Group’s Health team with any additional questions.
LeClair Group ensures your business gets the backing it needs to deliver fast, high-quality service to your clients. Better together, our expert sales desk team are here training and supporting your sales; backed up by industry leading quoting and illustration tools to grow your business.